Notice to the reader: This publication was archived and kept for historical purposes. Use caution when you refer to it, since it reflects the law in force at the time it was released and may no longer apply.
Information Notice
Published: June 2006
Content last reviewed: September 2009
ISSN: 1206-7105
Publication Archived
This volume of the IFTA NewsFlash contains information on the interest rates for the period April 1, 2006 to September 30, 2006, as well as the change in how interest is calculated on a late filed return and any outstanding tax liability. This NewsFlash also outlines the requirements for cancelling an IFTA licence and provides information on completing the quarterly tax return.
Interest Rate & Calculation
Interest Rate
The current interest rate effective April 1, 2006 to June 30, 2006:
- applicable to any outstanding tax liability is 6%; and
- applicable to any refunds not paid within 90 days is 6%.
The interest rate effective July 1, 2006 to September 30, 2006 will remain at 6%. Interest rates are revised every quarter.
Interest Calculation - Late Returns and Payments
Effective July 1, 2006, the IFTA Articles of Agreement is being amended to require that a full month's interest accrues for any portion of a month on which tax owed remains unpaid. If a return and full payment is not received by the due date, interest will be charged to the last day of the month in which full payment is received.
Licence Cancellation
Requirement When Cancelling Your IFTA Licence
Effective July 1, 2006, the IFTA Articles of Agreement is being amended to clarify the definition of 'cancellation'. You may cancel your IFTA licence when you are no longer operating qualified motor vehicles interjurisdictionally, or if you prefer to acquire single trip permits for interjurisdictional travel. The Ministry of Finance may cancel your IFTA licence if you choose not to renew your IFTA licence or you report no interjurisdictional operations over the last year.
An IFTA licence will only be cancelled if the licensee has complied with IFTA, filed all tax returns, and has paid all taxes, penalties and interest due. If an IFTA licence is cancelled, the original licence and any copies, and all decals must be destroyed.
Information on Completing IFTA 501 or IFTA 503 Tax Returns
If you wish to cancel your IFTA licence, check the appropriate box in the top right-hand corner of the IFTA Quarterly Tax Return - IFTA 501/503 and enter the last date of business.
Please do not complete the date box at the top right-hand corner of the return if you are checking any of the other boxes (e.g. Amended Return). The date box is only to be completed if you are cancelling your IFTA licence.
